$ETH
What are trading pairs in cryptocurrency?
Trading pairs are the foundation of the cryptocurrency exchange process. When you want to buy a cryptocurrency, you do so in exchange for another currency. For example, in the BTC/USDT pair, you buy Bitcoin (BTC) using Tether (USDT).
🟢 Types of trading pairs:
Currency pairs against stablecoins (such as USDT or BUSD): Suitable for reducing volatility.
Currency pairs against Bitcoin or Ethereum: Used for diversification and trading between cryptocurrencies.
Currency pairs against local currencies (such as USD or EUR): Important when entering and exiting the cash market.
🧠 Understanding how trading pairs work helps you to:
Better identify trends
Accurately compare currency values
Choose the most suitable pair for your strategy
Practical example: If you expect the price of ETH to rise against USDT, you can enter the ETH/USDT pair to profit when the price goes up.
✅ Remember: Choosing the right pair is just as important as choosing the right currency.
